| Heavy rain heaped more pressure on UK shopkeepers in November, with high street retailers hit hardest by declining shopper numbers. The number of visitors to high streets fell by 4.3% in November compared with the same month last year, twice the rate of decline of retail parks, which fell by 1.8%, according to new figures from Springboard, a data company. Parts of Yorkshire, the Midlands, Lincolnshire, north-east England and the eastern fringes of Scotland were particularly affected by heavy rainfall and flooding during November, with more than twice the normal level in some places, according to the Met Office. The Springboard analyst Diane Wehrle said that while high streets always tend to suffer more from rain than other shopping destinations, many retail parks had also taken action to slow their rate of decline, including by adding more restaurants. Overall retail footfall across the high street, shopping centres and retail parks declined by 3.4% year on year in November, said Springboard, based on data from 480 shopping locations. | |
 | Tesco (TSCO) is considering a sale of its Thai and Malaysian stores that could result in Britain’s largest supermarket chain exiting two of its last remaining international businesses. In a statement published on Sunday afternoon, the supermarket said it had started a review of the businesses after an approach by an unnamed buyer. Tesco operates 1,967 stores in Thailand, under the Tesco Lotus brand, and another 74 in Malaysia, employing more than 60,000 people. The businesses made combined revenues of £4.9bn in the year ending in February, making a profit of £286m – about a fifth of Tesco’s total global profits. Clive Black, an analyst at Shore Capital, said the Asian operations were a “trophy asset” given Tesco’s leading market position in Thailand and the growth potential offered by a country experiencing increasing urbanisation. “It could go for a very high price, and it’s also the case that Tesco doesn’t need to sell,” he said. “It should be a knockout price.” |
   | Last week the focus of the pain faced by retailers shifted from the shop floor to investors’ pockets as one of the UK’s biggest property funds placed a temporary ban on withdrawals. The £2.5bn M&G Property Portfolio – which owns Gracechurch – pulled down the shutters, admitting that it could not sell properties fast enough to repay the investors who wanted out. M&G PLC (MNG) blamed the flight of investors on the uncertainty created by Brexit and “ongoing structural shifts in the UK retail sector”, adding that “deteriorating market conditions have significantly impacted our ability to sell commercial property”. Bricks-and-mortar shops used to be a predictable home for investors and pension funds, thanks to the marriage of reliable rent-paying retailers and Britons who shopped until they dropped. But not these days. The rise of online shopping, combined with flaky consumer sentiment and rising costs such as business rates, are convulsing the retail sector, and no one knows when the pain will stop. The fact that the retail sector is going through a rough patch is not news to anyone. A succession of household names – from the department store chains House of Fraser and Debenhams (DEB) to, most recently, the card retailer Clintons – have resorted to rescue deals to stay in business over the past two years. Others, such as Karen Millen and Coast, have shut up shop and moved online. So unloved is Marks & Spencer Group (MKS) these days that it has dropped out of the FTSE 100. The quoted property companies have been hammered too. Intu Properties (INTU) has debts of £4.5bn and is headed for a cash call. Its shares have fallen by nearly 70% this year, and the group – which was the subject of an abortive £2.9bn takeover last year – is now worth less than £500m. Nearly 40% of the M&G fund’s holdings are shopping centres and retail parks. Its biggest investments include Gracechurch, which it bought for £88m in 2013; Fremlin Walk in Maidstone, Kent, where struggling House of Fraser is the star attraction, which cost £110m in 2014; and the Bridgend Designer Outlet in Wales, which it snapped up for a similar amount in 2015. |
| Tesco (TSCO) considers sale of Asian businesses. Grocery chain says it is reviewing its supermarkets in Thailand and Malaysia following ‘inbound interest’ |
 | Clock ticks for Drax Group (DRX) to find new financial model. Subsidies that make up fifth of energy company’s revenues run out in 2027 |
 | M&C Saatchi (SAA) needs to spin hard to win back investors. Fall from grace of Aim’s accountancy champion is another blow for junior market |
| Europe’s banks slash 60,000 jobs on negative outlook. Potential industry consolidation could unleash even more pain for employees |
| Tesco (TSCO) is weighing up the sale of its Asian grocery empire, which could value its retail operations across Thailand and Malaysia at up to $9 billion. Tesco confirmed that it had begun a review of its businesses in the region “following inbound interest”, but insisted that the process was at an early stage. Analysts last night branded its Lotus division in Thailand a “trophy asset” and predicted that the price could reach “nosebleed territory” in the event of a sale. The announcement raises the prospect of another international retreat by Tesco, which has withdrawn from the United States, South Korea and Japan over the past decade. |
           | Retail chiefs have lined up to claim that this year has been the toughest for the sector in living memory. A “perfect storm” of rising shop costs, the rapid shift to online shopping and general uncertainty has created crises for some of the biggest names on the high street, including Arcadia, Debenhams (DEB) and Mothercare (MTC). Yet there is a band of retail names defying the gloom by focusing squarely on what the customer wants and remembering that shopping was once a leisure activity. Unlike other retailers on Tottenham Court Road that have discount posters plastered across their windows to lure customers, Games Workshop Group (GAW) isn’t remotely bothered that most shoppers will never cross the thresholds of its stores. The miniature figurine retailer instead has made a success of appealing solely to niche hobbyists. Entering a shop is to step into the fantasy realm of Warhammer 40,000 or its updated “universe” Warhammer Age of Sigmar and its armies of goblins, dwarves and space wolves. Unlike many other retailers that have been hurt by the steep rise in wages, Games Workshop has a lean workforce, with 410 of its 517 stores having one shop assistant. The retailer, which sells a set of 16 miniature chaos space marines for £60, also protects its high margins because it designs and manufactures all of its products. In the past year Boohoo.com (BOO) has knocked ASOS (ASC) off its perch and, at £3.2 billion, is valued at £700 million more than its more established rival. The business is spending £90 million on marketing this year, recruiting celebrities such as Little Mix, the British girl band, for a snakeskin-inspired clothing range, while Pretty Little Thing, its younger label, produced its own song by Ashanti, the R&B singer. It also is hoping to give a new lease of life online to Karen Millen and Coast, the faded fashion brands that it bought out of administration in August. Associated British Foods (ABF), Primark, is increasing its sales despite not selling online. Instead, it ploughs money into opening new stores, such as its vast new site in Birmingham, which not only promises cut-price garments but also a day out for visitors at its Disney-themed café and a hairdressing salon. Joules Group (JOUL) started life as a wellie outfitter at agricultural fairs, but it has continued to increase sales, helped by its “total retail” model, which sells in market town stores, online and from international concessions. Nick Jones, its new boss, has attributed Joules’ secret sauce to the fact that the brand “doesn’t follow every fashion trend. Our customers can rely on consistency in our product, quality and price.” Next (NXT) has continued to ease ahead of the high street by using its background as a mail catalogue business to outfox others’ delivery networks. It also cuts deals with landlords that enable it still to invest in the business, unlike others that are strapped for cash. JD Sports Fashion (JD.) is the top performer this year, despite the lingering uncertainty around its takeover of Footasylum (FOOT), as it continues to flex its muscles in the so-called athleisurewear market. Much to the annoyance of , its great rival, JD Sports’ relationships with Adidas and Nike mean that it has early or exclusive access to all the latest trainers, which keep pulling in the punters. Despite a wobble in its German operations, B&M European Value Retail S.A. (DI) (BME) is pressing on with its expansion plan to have 950 UK stores as it lures cash-conscious shoppers with cheap, branded goods and an array of home furnishings. Dunelm Group (DNLM) has had a stellar year and it lifted profit expectations last week after overhauling its website to boost online sales. About two thirds of Dunelm’s products are exclusive to the retail chain and it has tapped into growing customer cautiousness by bringing out cheaper goods, such as £10 duvet sets. It has shunned Black Friday to protect its margins and Nick Wilkinson, its boss, has focused on improving Dunelm’s product, arguing that “as long as our product passes muster, then that’s great”. Away from the stock market, retailers that are doing well tend to be split into two camps: luxury and discount. The squeezed middle applies to retail, too. Aldi and Lidl continue to improve their sales, largely thanks to their rampant expansion plans. At the other end of the spectrum, Fortnum & Mason and Selfridges reached record sales this year, despite their store estates not altering in any meaningful way. It appears that shoppers, fed up with the gloom, are willing to spend a bit extra on having an enjoyable experience. |
 | A Hong Kong hedge fund secretly built up the biggest ever short position in the UK by taking huge bets against Premier Oil (PMO) shares. Asia Research & Capital Management should have revealed its bet to the Financial Conduct Authority in February 2017 when its short position in the North Sea oil firm’s shares went above 0.5%. But ARCM, which invests in distressed assets, did not disclose the bet to the watchdog until Friday last week – when it belatedly revealed that it had built up an enormous 17% short position worth £132million. ARCM’s huge short position – thought to be the largest ever disclosed in the UK – is understood to be a hedge against its $380million holding of Premier Oil’s $2.55billion net debt, which becomes repayable in May 2021. |
 | Standard Chartered (STAN) has been accused of ignoring warnings that one of its major clients was helping the Taliban to kill and maim British and American troops in Afghanistan. Documents seen by The Mail on Sunday show that the British bank provided foreign exchange and export finance services to Fatima Group from 2009 until at least 2014. In an extraordinary intervention, a US army general last night claimed he met Standard Chartered bosses in January 2013 to warn that the Pakistani fertiliser firm was helping to supply the Taliban with materials used in the manufacture of deadly homemade bombs. |
| Marks & Spencer Group (MKS) is paving the way for an historic overhaul of its flagship Marble Arch store as part of a major plan to downsize some of its biggest shops. About 20 stores – mainly in desirable but expensive city centre locations thought also to include Birmingham – are under the microscope as part of the review. The upper floors of the shops could be converted into residential or office space. The majority of the stores affected, mostly locations that occupy four or five storeys, are expected to continue trading as M&S on lower floors. The company last night declined to confirm the names of specific locations affected and the plan is in its early stages. But retail market sources said Marble Arch – which has seven floors and also houses staff training accommodation and a press showroom – has been discussed internally. |
| M&C Saatchi (SAA) chairman Jeremy Sinclair last night said its bosses have a ‘deep confidence’ in the beleaguered advertising firm after they bought £1million of new shares. The media group saw its shares plummet by nearly 50% last Wednesday as it issued its second profit warning in three months. But under-pressure bosses bought shares worth just under £1million after their price tumbled from 146p to 79p. Sinclair, chief executive David Kershaw and executive director Bill Muirhead – co-founders of the group – bought 415,323 shares each. |
 | The tycoon spearheading the £1.5billion hostile bid for Centamin (DI) (CEY) is under investigation for corruption, The Mail on Sunday can reveal. Sébastien de Montessus, the French boss of Canadian gold firm Endeavour Mining, is being investigated over a scandal at Areva, the state-owned French nuclear firm, after a disastrous takeover. French officials are looking in to whether De Montessus, who runs Toronto-listed Endeavour from London, bribed a foreign public official and engaged in corruption at Areva. He denies the allegations. |
 | MIDAS SHARE TIPS: Miner Shanta Gold Ltd. (SHG) could give your portfolio a rich seam of profits. Midas verdict: Shanta shares have suffered from the Acacia effect, fears about local political risk and concerns about its debt pile. These worries have been overdone and the shares, at 8.25p, should see a material uplift in the months to come. Gold’s prospects are good, Zurrin is doing all the right things to drive production and reduce costs and there is always the chance of some bid action. Buy. |
| Tesco (TSCO) could sell its operations in Malaysia and Thailand as part of a strategic review, as the retail giant prepares for a new boss to take the reins. Britain’s largest supermarket chain is considering the future more than 2,000 stores in the south-east Asian countries after approaches from potential buyers. In a statement, Tesco said that following “inbound interest”, it has “commenced a review of the strategic options for its businesses in Thailand and Malaysia, including an evaluation of a possible sale of these businesses”. The Asian operations could be worth as much as $9bn (£6.8bn), according to reports. |
 | Eddie Stobart Logistics (ESL) has clawed its way back from the brink after investors backed a rescue that puts the son of its founder back in the driving seat. Shareholders overwhelmingly supported a proposal from offshore fund DBay Advisors at a crunch meeting in London on Friday – saving the company from, administration months after its finances were crippled by an accounting scandal. William Stobart, whose father Eddie founded the business 50 years ago, has been appointed executive chairman under the terms of the deal. DBay – already the company’s biggest shareholder – will take a majority stake in return for a £55m high-interest loan. |
| Questor: Codemasters (CDM) looks cheap after a keenly priced acquisition. Keep buying. Questor share tip: readers who followed our tip last Christmas have already made 50% but there should be more to come |
 | Ted Baker (TED) has hired headhunters to find a new chairman, paving the way for a shake-up of its top ranks after a catastrophic year that has plunged the fashion retailer into crisis. The company has appointed Korn Ferry to find a replacement for David Bernstein, 76, who joined the board in 2003 and became chairman in 2013. He took on an executive role in March after founder and chief executive Ray Kelvin was forced out amid allegations of sexual harassment, revealed by The Sunday Times, which he denies. Kelvin’s successor, Lindsay Page, whom Bernstein promoted from finance director, is under pressure after Ted Baker announced last week it had overstated the value of its stock by between £20m and £25m in prior years, heaping more misery on investors who have seen the value of their holdings plunge by three-quarters this year to 392p a share, or £174.7m. Ted Baker is scheduled to issue a trading update on Wednesday. |
 | Standard Life Aberdeen (SLA) is monitoring its £1.3bn UK property fund closely after a wave of redemptions caused by fears over retail prompted rival M&G PLC (MNG) to gate its fund. Investors pulled money from property funds at the fastest rate so far this year last week, with £57m flowing out on Thursday alone, according to analysis firm Calastone. About £1.5bn has been withdrawn this year, more than in 2016, when so-called open-ended property funds were last suspended. Then, investors were spooked by the Brexit vote. Now they are reacting to the funds’ exposure to the high street and shopping centres. Almost 50% of the Aberdeen UK fund is invested in retail. Investors withdrew £31m from the Aberdeen fund on Wednesday, almost equal to the amount taken out over the previous four months. |
 | Property tycoon Vincent Tchenguiz has amassed a stake in one of fallen stock-picker Neil Woodford’s funds as he looks to build his own technology empire. Tchenguiz has spent about £6m on a 2% stake in Woodford Patient Capital Trust (WPCT). WPCT’s share price has plunged by two-thirds in the past year, hit by the closure of Woodford’s flagship Income Fund and the demise of Woodford Investment Management. Its shares closed at 29.9p on Friday, giving it a market valuation of £268.9m. It raised £800m from investors when it launched in 2015. |
| Debenhams (DEB) has split with property director Clive Bentley, as the department store chain prepares to close 22 stores in the New Year. Bentley was hired to oversee Debenhams’ company voluntary arrangement (CVA), which survived a legal challenge backed by Sports Direct boss Mike Ashley. The billionaire lost an estimated £150m when Debenhams was taken over by its lenders in a debt-for-equity swap in April. The CVA inserted break clauses across Debenhams’ estate of 166 UK stores, meaning more closures are likely to follow next year. A Debenhams source said trading over Black Friday had been “pretty good”. |
 | Just Eat (JE.) preferred bidder has raised the prospect of breaking up the food delivery service. Jitse Groen, chief executive and founder of Just Eat’s Dutch suitor Takeaway.com, has mooted the sale of its 33% stake in Brazilian delivery outfit iFood if Takeaway.com wins a takeover battle. Just Eat, which has a market value of £5.3bn, shares ownership of iFood with Naspers, the South African technology behemoth behind Prosus, which is seeking to gatecrash the Takeaway.com deal. Groen, who founded Takeaway.com 19 years ago, is planning an all-share merger with Just Eat worth 710p at the end of trading on Friday. |
 | Tatton Asset Management (TAM) to set out on a buying spree. New restrictions on how financial advisers earn commission, and extra risk from Mifid II regulation, have driven a shift in the profession: many are now outsourcing stock-picking to online platforms that choose shares — sticking instead to providing actual advice, and retirement planning. This has driven a surge in the value of assets under management on investment platforms, which have doubled from £250bn to £500bn over the past five years. About £48bn sits in “model” portfolios, which offer a diversified selection of stocks with a set level of risk. Tatton Asset Management is in this sweet spot. Tatton’s model centres on signing up advisers who discuss with clients how much risk they want to take. About 10% of the 5,500 directly authorised advisory firms use Tatton. Assets under management grew by 22.8% year-on-year to £7bn. While Tatton is adding more advisers, it also hopes to sell more services to the ones it already has. Investing in Tatton is not without its risks. While revenues are expected to grow over the next five years, reaching an estimated £30m a year by 2024, Tatton has not yet weathered a downturn. However, Hogarth plans to embark on the acquisition trail, and if the trend towards these platforms continues, there could be further rewards ahead. Buy. |
| The shock gating of the £2.5 billion M&G Property Fund this week was triggered in part by a sell-off by fund managers within the wider M&G PLC (MNG) empire, The Times has learnt, raising questions about whether other investors now trapped in the fund should have been told. Prudential UK, the life company owned by M&G plc, sold off £124.5 million worth of units between May and October in response to the poor performance of the fund. That sell-off represents a large part of the £577 million of net redemptions by all customers of the fund in that period, which led to its shuttering on Wednesday. | |
| Eddie Stobart Logistics (ESL) has secured a much-needed financial lifeline after its shareholders backed a rescue cash injection by its largest stakeholder in exchange for taking majority control. The agreement temporarily safeguards the jobs of about 6,600 Eddie Stobart employees and means that its 2,500 distinctive red, white and green lorries can continue to deliver goods over the busy Christmas trading period. It also brings to an end months of uncertainty about the fate of Eddie Stobart, whose shares have been suspended since the summer when an internal disagreement meant that it was unable to file its accounts by an end-of-August deadline. Failure to agree the rescue almost certainly would have pushed the company into administration. |
 | The wealthiest member of the Church of Scientology has invested another $50 million in a small antibiotics developer listed in London. Bob Duggan, an American biotechnology billionaire, has poured the money into Summit Therapeutics (SUMM), which is working on ridinilazole, a potential new treatment for the Clostridium difficile bacterial infection, which can cause serious bowel problems. The drug is already in late-stage trials and the extra cash will fund the studies through to completion, with results due in the second half of 2021. Assuming that they are successful, the money also will help to start marketing and selling the drug, which could happen as early as 2023. Mr Duggan, 75, first invested in Summit this time last year and after his latest share purchase he will own a 72.8% stake in the company. His net worth is estimated at $2 billion, most of which came from selling Pharmacyclics, his biotechnology company, to Abbvie in 2015, a deal that netted him close to $3.5 billion. |
 | A former regulator who approved the abortive bid for the London Stock Exchange Group in September and once triggered a row with pro-democracy protesters in Hong Kong has been elevated to head HSBC Holdings (HSBA) biggest division. Laura Cha has been appointed non-executive chairwoman of HSBC’s Hongkong and Shanghai Banking Corporation, a post left empty since John Flint, the chief executive of the group, was sacked in August. He had held the additional responsibility. |
 | Phoenix Group Holdings (DI) (PHNX), Britain’s biggest consolidator of closed life and pension funds has swooped to buy a Swiss-owned rival for £3.2 billion, only months after its target abandoned plans for a float. The agreed cash-and-shares acquisition of Reassure by Phoenix Group yesterday marked the biggest takeover by Phoenix in its modern form. It also cements its position as the largest player in the consolidating markets of specialist life and retirement funds in Europe — and does so three months before Clive Bannister, its chief executive, is due to leave after a nine-year spell at the group. Mr Bannister, 61, joined in 2011 when Phoenix was labouring under unsustainable debts and had to be rescued by a group of investors led by hedge funds. |
 | The competition regulator has warned that the £3 billion takeover of EI Group (EIG) by the owner of the Slug and Lettuce and Yates chains could push up prices for drinkers in 51 areas. Stonegate Pub Company and Ei Group, better known as Enterprise Inns, have been given until December 13 to suggest ways to address the concerns raised by the Competition and Markets Authority so that the regulator can approve the deal. It is expected that the pair will propose selling pubs to assuage the watchdog’s worries. The acquisition will face an in-depth investigation if their plan does not satisfy the regulator. |
 | Half-year profit at Berkeley Group Holdings (The) (BKG) has tumbled by almost a third after the number of homes it sold fell sharply. Berkeley Group reported a 31% fall in pre-tax profit to £276.7 million for the six months to October 31. Revenue at the FTSE 100 constituent was down 43.7% to £930.9 million as the number of homes sold fell from 2,027 a year earlier to 1,389. The average selling price fell by 13% to £644,000. The fall was in line with the company’s guidance in June. It made a record profit of almost £1 billion last year, but said that it would not be able to repeat the performance because it would no longer benefit to the same extent from investments in sites acquired at bargain prices after the financial crisis. |
 | The UK’s Serious Fraud Office has launched an investigation into suspicions of bribery at mining and commodity trading group Glencore (GLEN). The SFO said “it is investigating suspicions of bribery in the conduct of business by the Glencore group of companies, its officials, employees, agents and associated persons”. In a statement, the £30bn company added: “Glencore has been notified today that the Serious Fraud Office has opened an investigation into suspicions of bribery in the conduct of business of the Glencore group.” Glencore said it would cooperate with the investigation. |
 | BP (BP.) has increased its stake in the British solar venture Lightsource BP as it prepares to strike a deal to power its offices with renewable energy from next year. The companies announced plans to set up a 50:50 joint venture almost two years after BP made its return to the solar market by snapping up a 43% stake in Lightsource for £200m. BP will increase its stake in the company by buying new shares for an undisclosed price to help accelerate Lightsource BP’s solar power targets. It had hoped to grow its portfolio to 6GW of capacity by 2023 but plans to reach 10GW over the same timescale. |
| Shares in Aston Martin Holdings (AML) have surged on reports that the billionaire owner of a Formula One racing team is preparing to bid for a significant stake in the luxury carmaker. Lawrence Stroll, the owner of Racing Point, is leading a consortium that is considering a stake in the British firm, according to Autocar. Aston Martin shares have slumped since its flotation just over a year ago. Sold at £19, they tumbled to 399p at the end of October, but climbed 18% to close at 595p on Thursday amid reports of Stroll’s interest. The carmaker, which has recently launched its first SUV and officially opens its newest plant in St Athan, south Wales, on Friday, has struggled with poor sales and the fallout from a Chinese slowdown and Brexit confusion. | |
| Eddie Stobart Logistics (ESL) famed for its red and green lorries, is teetering on the brink of collapse with its future due to be decided at a key shareholder vote in London on Friday. The vote will pit William Stobart, the third son of the company’s founder, against his childhood friend and former brother-in-law, Andrew Tinkler. If their competing bids fall through, the company could collapse under the weight of a huge debt pile months before its 50th birthday. The Warrington-based company, which counts Amazon, Coca-Cola and Tesco among its customers, recorded a loss of at least £12m in the first half of the financial year. It is also struggling with £200m worth of debt. However, accounting problems revealed in August mean the financial situation could be much worse. |
| Aberdeen property fund hit by surge of withdrawals. Daily outflows increased sharply after rival M&G product was suspended | |
 | Lombard – Metro Bank (MTRO) chief’s challenge was credibility not strategy. Craig Donaldson believed in the challenger bank, but the City cannot believe in him |
| Lex – Dunelm Group (DNLM): no slouching. Soft furnishings group has enjoyed a stunning turnround but it must keep focusing on costs |
| Glencore (GLEN) probed by UK fraud watchdog over ‘suspicions of bribery’. Investigation compounds legal troubles at world’s most powerful commodities trader |
| AJ Bell (AJB) reports record profit a year after float. Winning customers from rival Hargreaves helps wealth manager through market gloom | |
 | Daily Mail owner bolstered by digital ads as print revenue falls. Daily Mail and General Trust A (Non.V) (DMGT) grows annual underlying earnings by almost a fifth |
| Ted Baker (TED) appoints consultancy to review operations. AlixPartners to help draw up turnround strategy in wake of difficult year |
| Boohoo.com (BOO) founders have sold 50m shares worth £142.5million to cash in on a 75% rise this year. The firm is now worth £3.5billion after shares hit a record high of 315.5p last week. The founders’ shares were placed at 285p and sold to institutional investors, raising £99.75million for Kamani and £42.75million for Kane, the company said yesterday. The sale leaves Kamani with a stake of 13.1% and Kane with 2.7%. They have promised not to sell more shares for 18 months without the firm’s permission. The sell-off – for ‘personal financial planning’ – comes days after Boohoo announced record sales over the Black Friday weekend. |
| British investigators have begun an inquiry into alleged bribery at the miner Glencore (GLEN). The Serious Fraud Office (SFO) revealed yesterday that it was looking at the ‘conduct of business by the Glencore group of companies, its officials, employees, agents and associated persons’ as part of its investigation. The authority said it could not disclose further details while the probe was ‘live’. The SFO’s statement came after Glencore disclosed the probe to investors in a stock market announcement. Glencore said it would co-operate where necessary. |
British property funds have lost nearly £5billion this year as the crisis on the High Street hammered shop valuations and triggered an exodus of investors. The combination of savers rushing to withdraw money and poor performance has caused the sector to shrink by £4.7billion to £22.6billion in the first ten months of 2019. The toll, revealed by the financial data firm Morningstar, emerged after investors were locked out of Britain’s biggest commercial property fund for the second time in three years. The £2.5billion M&G Property Portfolio fund was suspended on Wednesday after the manager was unable to sell shops and offices quickly enough to repay backers who were pulling their savings out. Analysis from Morningstar shows £1.5billion has been withdrawn since the start of 2019. It said this leaves a total of almost £4.2billion in Property Portfolio and its ‘feeder funds’, which funnel cash to the main fund. | |
| Joules Group (JOUL) said its performance over the last six months had been ‘robust’. On the back of its strong performance, Joules confirmed it is opening four new stores before Christmas, ‘in desirable locations and on attractive terms.’ The high street retailer credited its ‘disciplined’ promotional activity and strong online growth for a jump in sales for the half year. Joules saw its revenues rise by 1.3% in the half year to November, driven by a 3.1% uptick in retail revenues. The figures have been adjusted to take into account the later Black Friday this year. The retailer, which is well known for its floral wellies and polka dot rain coats, said its performance had been bolstered by its ‘distinctive product offer, enhancements to the customer proposition and continued growth in our active customer base.’ |
| Dunelm Group (DNLM) has announced it expects to make greater profits this year than it originally forecast. It added that the development of its new website did not cause any negative consequences for its sales, both online and in stores. Dunelm recorded a 7.5% rise in total sales to £262.6million for the three months to September 28, while like-for-like sales increased by 6.4% to £255.6million over the same period. The firm also said its gross margins were ‘stronger than expected’ and that operational costs were ‘well controlled.’ The sales boost comes as the homeware and furnishings business celebrates its fortieth year of doing business. |
| The father of Formula 1 driver Lance Stroll is leading a consortium that is seeking to buy a large stake in Aston Martin Holdings (AML). Lawrence Stroll, who owns the Racing Point F1 team, is reportedly seeking to acquire a stake in James Bond’s favourite automobile company, a decision which sent shares in the classic car company soaring by more than 17% today. The news may come as a relief to the Warwickshire automobile manufacturer, which has been struggling financially ever since it became a publicly traded company in October last year. According to Autocar magazine and RaceFans.net, who did a joint investigation, Stroll believes the firm’s current low stock value and sales numbers make it financially advantageous for an investment. Autocar says Stroll hopes this will create the foundations for ‘building the brand’s equity up again in future years, most notably by taking advantage of anticipated sales for the recently launched Aston Martin DBX SUV.’ | |
| AJ Bell (AJB) has posted record profits this year, a year after the broker and online trader became a publicly traded company. Profits at the Salford Quays firm rose by a third to £37.7million in the year to September on higher revenues of £104.9million. The company also recorded a stronger balance sheet, an increase in retail customers and larger dividends. Its chief executive Andy Bell has also announced that AJ Bell would donate £10million to help disadvantaged young people in the UK. The CEO said the firm’s growth underlined the ‘strong endorsement of the business model and growth strategy’ that was instituted before the company’s IPO in December last year. | |
 | Shares in Microsaic Systems (MSYS) surged after the chemical instrument maker signed an exclusive distribution deal with the Japanese firm ST Japan. Microsaic, which was spun out of Imperial College London, makes mass spectrometers that analyse the chemical make-up of substances. Lab equipment seller ST Japan will distribute Microsaic’s 4500 MiD to Japanese pharmaceutical and environmental firms, among others. |
 | Burberry Group (BRBY) was boosted by a report that French luxury group Kering had expressed an interest in taking over Italy’s Moncler. The latest rumours of mergers and consolidation in the luxury goods sector come hot on the heels of LVMH’s £12.5billion takeover of US jeweller Tiffany – and hint that more could be coming. Burberry’s stock climbed as investors regained confidence in the sector, which has lagged amid the US-China trade spat and the worldwide economic slowdown. |
| Two British property funds have launched a wave of sell-offs, amid a stampede for the exits by investors which forced rival M&G PLC (MNG) to slam its doors shut. Fund managers at Columbia Threadneedle and Kames Capital have ditched more than £156m of property from their funds in the past two months in a scramble to ensure savers can get their money back. The sales should help both stay open and refund customers who want to leave. Meanwhile yesterday investors took £31m out of a major fund run by Standard Life Aberdeen, according to reports, add more fuel to concerns of a broader crisis in the sector. | |
| Metro Bank (MTRO) biggest investor has sold another chunk of his stake as supporters of founder Vernon Hill pull back from the troubled lender. Hedge fund billionaire Steve Cohen revealed the fourth cut to his holding in Metro in less than a fortnight on Thursday afternoon, taking it to 5.8%. The American has been one of Mr Hill’s staunchest backers, and bought into the lender when it was founded in 2010 as the first new British high street bank for more than a century. But he has joined a major sell-off which has sent Metro shares plummeting since the bank unveiled a major accounting error in January. |
 | Questor: if you want to venture into investment’s far frontiers, this is the trust to pick. Questor investment trust bargain: Blackrock Frontiers Investment Trust (BRFI) gives investors access to some of the fast-growing nations that make ‘emerging’ markets look well established by comparison |
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